Glossary beginning with O

o
Origination Fee

The origination fee is paid to the bank to compensate them for the cost of administering the loan. The origination fees are charged as the loan is disbursed, and typically run to 3% of the amount disbursed. A portion of this fee is paid to federal government to offset the administrative costs of the loan.

Other Resource

An other resource is something that is available to a student because they are in school and it must be included when determining eligibility for financial aid. Faculty/staff scholarship, employment waivers, and third party billing are examples of other resources.

Outside or Agency Scholarship

An outside or agency scholarship is one that comes from sources other than the school and the federal or state government.

Overawards

A student who receives federal support may not receive awards totaling more than $400 in excess of his or her financial need.